Dive Brief:
- The Home Depot’s improved delivery speeds are elevating the interconnected shopping experience and leading to greater conversion rates, EVP of Merchandising Billy Bastek said on a Q2 2026 earnings call Tuesday.
- U.S. delivery lead times are down about 45% over the past 18 months, and more than half of in-stock bulky products are delivered within two days, Bastek said.
- The retailer expanded its express delivery service, which guarantees delivery of eligible items within three hours for a flat fee, nationwide on Tuesday. The retailer plans to reduce the delivery window further in the coming months.
Dive Insight:
Home Depot’s fast delivery push is building on successful in-store initiatives, executives said.
On-shelf availability is at record levels, and investments in the associate experience are paying off. Home Depot is seeing greater associate engagement, improved customer satisfaction and stronger sales, according to Ann-Marie Campbell, senior executive vice president of U.S. stores and operations.
The in-stock improvements also feed back into Home Depot’s fast delivery options, according to Campbell.
“This is kind of foundational to driving great customer service, and for me and for the team, a high level of operational reliability, especially as stores play a more important role in delivery and fulfillment of our interconnected experience,” Campbell said on the call.
The continued evolution of the Magic Apron AI assistant is leading to CX improvements as well, Campbell said. Associates and customers are both using it to quickly find items and ask questions in the store, and customer feedback has been “extremely positive.”
Performance with professional contractors remained strong as a result of Home Depot’s investment in the pro ecosystem, according to Campbell. Investments in product assortment, delivery and specialized services have been paying off.
“There's more to do, but it is evident that we're serving our pros better than ever, and this partnership with our customers creates a sticky and lasting relationship,” Campbell said.
Home Depot reported middling financial results. Same-store sales rose 1.7% year over year in the second quarter of 2026, according to an earnings report. Net sales rose 5.7% year over year to $47.9 billion.
Executives were pleased with the company’s performance and believe it is well positioned for the future, even as continued uncertainty and housing affordability put pressure on home improvement projects.
“We believe that we will continue to grow market share as a result of our competitive advantages and ongoing investments by delivering the best experience in home improvement,” EVP and CFO Richard McPhail said.
